Mortgages performed well in December says Black Knight

by Steve Randall22 Jan 2019

Data from mortgage software and analytics firm Black Knight shows strong performance for loans at the end of 2018.

‘First look’ data for December reveals a delinquency rate of 3.9%, the lowest year-end rate since the firm began reporting the figure in 2000. This was despite seasonal upticks in recent months.

The national foreclosure rate – also edging seasonally upward – hit its lowest year-end point since 2005 (just 0.52% of mortgages in active foreclosure).

There was, however, an increase in foreclosure starts in December. But the rise of 4% year-over-year in December was primarily driven by suppressed foreclosure start volumes in late 2017 due to hurricane-related moratoriums.

Prepayments remained nearly unchanged in December (0.66%), holding near the 10-year low set in November. It was down 29% compared to December 2017.

The total number of properties at least 30 days past due but not in foreclosure was up 88,000 in December to 2,013,000 – but this was a drop of 399,000 year-over-year.

The number of properties 90+ days past due but not in foreclosure was up 1,000 month-over-month but down 215,000 year-over-year to 511,000.

The number of properties in foreclosure pre-sale inventory was up 3,000 month-over-month but down 60,000 year-over-year to 271,000.

Where the delinquency hot spots are
The top 5 states by non-current percentage in December were: Mississippi (10.09%), Louisiana (8.13%), Alabama (6.95%), West Virginia (6.69%), and Arkansas (6.29%).

The bottom 5 states by non-current percentage in December were: North Dakota (2.46%), Idaho (2.32%), Washington (2.28%), Oregon (2.12%), and Colorado (1.90%).


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